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Possible regional impacts of agricultural trade liberalization in Brazil : some insights based on the estimation of soybean supply function

De Menezes Tatiane Almeida, Piketty Marie-Gabrielle. 2007. Possible regional impacts of agricultural trade liberalization in Brazil : some insights based on the estimation of soybean supply function. In : 106th Seminar of the European Association of Agricultural Economists, Pro-poor development in low income countries : food, agriculture, trade and environment, 25-27 October 2007, Montpellier. EAAE. s.l. : s.n., 18 p. EAAE Seminar. 106, Montpellier, France, 25 Octobre 2007/27 Octobre 2007.

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Résumé : An important debate exists on whether soybean expansion in Brazil is responsible for putting more pressure on the Amazon forest or if it allows land use intensification through the recuperation of degraded pasture. In this paper, we estimate regional soybean supply own and cross price elasticity in order to better assess the possible impacts of agricultural trade liberalization in old and new soybean production basins. Applying a panel data estimation technique, we find large substitution supply elasticity between soybean and beef in Brazil Moreover, own price elasticity of soybean supply is much higher in Cerrados regions that in the South of the country. These results allow to discuss possible regional consequences of soybean trade liberalization on the Amazon forest. The current movements to promote sustainable and responsible soybean production in Brazil could certainly modify the future response of the sector to trade liberalization and its long term impacts.

Classification Agris : E71 - Commerce international
E10 - Économie et politique agricoles

Auteurs et affiliations

  • De Menezes Tatiane Almeida, UFPE (BRA)
  • Piketty Marie-Gabrielle, CIRAD-ES-UMR MOISA (BRA)

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Source : Cirad - Agritrop (https://agritrop.cirad.fr/541679/)

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